LABOR MARKET BLUEPRINT - OCTOBER 2010 NORTH SHORE - MASSHIRE NORTH SHORE WORKFORCE BOARD

 
CONTINUE READING
LABOR MARKET BLUEPRINT - OCTOBER 2010 NORTH SHORE - MASSHIRE NORTH SHORE WORKFORCE BOARD
We put the
North
             Labor Market Blueprint
Shore        October 2010
to work!     by O. Steven Quimby, Economic Development Consultant
Greetings:
                                                On behalf of the North Shore Workforce Investment Board (NSWIB), we are pleased to
                                                present this Labor Market Blueprint for the North Shore region.
                                                  This regional labor market report capitalizes on three prior reports completed in 2000,
                                                2002 and 2007 and helps us to continually examine the ever changing and dynamic world
                                                of work. This blueprint is but a snapshot of our labor market, its strengths, needs and
                                                challenges, particularly important in this stressful and challenging economic period. Given
                                                these stresses, and our regions strategic and experimental approaches to using labor market
                                                information, the WIB reached out to find different types of data and information to inform us
                                                in this time of uncertainty.
                                                  New with this blue print is the documentation and analysis of two new source of labor
                                                market information for our region. These include data from Monster.com—new, real time
                                                data that gives us another perspective on the supply- and demand-side of our workforce.
                                                As with any new data, we are learning how to translate this into value-added information
                                                for our regional system, and expect to learn more when we receive an update from Monster
                                                one year from now. Keep your eyes open for the sequel! Second, we have added a section
                                                on Economic Development, prepared by the new North Shore Alliance for Eco­nomic
                                                Development. This section provides insight into non-workforce issues for our critical
                                                industries, reinforcing the reality that economic development and workforce development
                                                must work in concert for the benefit of the region and its future.
                                                  The NSWIB is charged under the Workforce Investment Act with overseeing the workforce
                                                development system and investing the region’s federal and state workforce funds by forging
                                                partnerships that bring together the varied workforce development entities in our region.
                                                Research such as this Blueprint will help us build this labor force and ensure a vibrant quality
                                                of life for our entire North Shore community. Our challenge and mission is to be alert to the
                                                needs of businesses and individual job seekers and address them in a mutually beneficial
                                                and efficient manner—examining data in new ways to reflect the change in our local
                                                economy and its evolving workforce.
                                                  Business, educators, and community leaders from all over the North Shore and the state
                                                were generous with their time and insights during the development of this blueprint. The
                                                NSWIB is grateful to them for their commitment to making the North Shore and better place
                                                to live and work. In addition, we would like to thank O. Steven Quimby for the quality of work
                                                performed in developing this blue print and his attention to our thoughts and perspectives.
                                                  We invite you to become more involved in the development of our workforce on the North
                                                Shore and welcome your feedback as we move forward. For more labor market information
                                                as well as information on our programs be sure to visit our website www.northshorewib.com.
                                                Sincerely,

                                                Kimberley Driscoll               William Tinti               Mary W. Sarris
                                                Mayor of Salem                   Chairman                    Executive Director
                                                Chief Elected Official

ii   | north shore WIB labor market Blueprint
Acknowledgements
This labor force blueprint would not have been possible without the cooperation of
many people who were generous with their time and expertise. The author would like
to thank the business owners and key leaders who were interviewed or participated in
focus groups lending their time and expertise to this effort. The staff and members of the
North Shore Workforce Investment Board provided leadership to the research process and
brought a number of useful insights to bear that improved the early drafts of the blueprint.
Finally, Bill Luster of the North Shore Alliance for Economic Development provided an
invaluable service in providing the economic development research report summarized in
this blueprint.

                                                                                               north shore WIB labor market Blueprint |   iii
Table of Contents
                                                Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  1
                                                Labor Market Demand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    1
                                                The Impact of the Great Recession . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                            3
                                                Recommendations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                 3

                                                Chapter 1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                   4
                                                Purpose. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .     4
                                                History. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   4
                                                Methodology. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .           5

                                                Chapter 2 North Shore Labor Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
                                                Demand Side Analysis: Industries on the North Shore. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
                                                Supply Side Analysis: The North Shore Workforce. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
                                                The Impact of the Great Recession. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18

                                                Chapter 3 Critical Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                    20
                                                Construction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        21
                                                Financial Services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          24
                                                Health Care . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      27
                                                Durable Goods Manufacturing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                         31

                                                Chapter 4 Life Sciences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                36
                                                The Face of Life Sciences on the North Shore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                 36
                                                Employment Picture of Life Sciences on the North Shore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                                             38
                                                Support for the Development of the Life Sciences Industry on the North Shore . . . . . . . . . . . .                                                               39

                                                Chapter 5 Partnerships with Economic Development. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
                                                North Shore Investment Snapshot: The North Shore Economic Development
                                                Community Speaks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41
                                                Analysis and Recommendations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44

                                                Chapter 6 Recommendations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          46
                                                Construction. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .        46
                                                Financial Services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          46
                                                Health Care . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      46
                                                Manufacturing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .          47
                                                Life Sciences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .      47
                                                General. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   47

                                                Appendix A. Survey Protocol. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48

                                                Appendix B. Occupational Matrices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50

                                                Appendix C. Bibliography. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62

                                                Board of Directors. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63

                                                North Shore Workforce Investment Area. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64

iv   | north shore WIB labor market Blueprint
List of Figures
Figure 2.1	North Shore Private Sector Employment: 2001-2009. . . . . . . . . . . . . . . . . . . . . . . . . . 9
Figure 2.2	Location Quotients by Major Industries: 2008. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Figure 2.3	Massachusetts Employment Growth Projections by Industry: 2006-2016 . . . . . . 11
Figure 2.4	Monster.com Job Listings for the North of Boston Region: Q1 2010. . . . . . . . . . . . 12
Figure 2.5	North Shore Career Center Job Listings: July 2009 to June 2010 . . . . . . . . . . . . . . . 13
Figure 2.6	Essex County Educational Attainment: 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Figure 2.7	North Shore Workforce Investment Area Top 25 Occupations: May 2009 . . . . . . 15
Figure 2.8	Massachusetts Fastest Growing Occupation Projections: 2006-2016. . . . . . . . . . . 16
Figure 2.9 	Massachusetts Occupations Projected to Create the Most
             New Jobs: 2006-2016 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Figure 3.1	North Shore Critical Industry Employment: Q3 2001-2009. . . . . . . . . . . . . . . . . . . 20
Figure 3.2	North Shore Construction Employment by Sector: September 2009. . . . . . . . . . . 21
Figure 3.3	North Shore Specialty Trade Contractors Employment by Levels:
             September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
Figure 3.4	North Shore Finance and Insurance Employment by Sector:
            September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Figure 3.5	North Shore Specialty Credit Intermediation Employment by Levels:
            September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
Figure 3.6	North Shore Health Care Employment by Sector: September 2009. . . . . . . . . . . . 27
Figure 3.7	North Shore Ambulatory Health Care Services Employment by Levels:
            September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30
Figure 3.8	North Shore Hospitals Employment by Levels: September 2009 . . . . . . . . . . . . . . 30
Figure 3.9 	North Shore Nursing and Residential Care Facilities Employment
             by Levels: September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
Figure 3.10	North Shore Durable Goods Manufacturing Employment by Sector:
             September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
Figure 3.11	North Shore Fabricated Metal Product Manu­facturing Employment
              by Levels: September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Figure 3.12 	North Shore Machinery Manufacturing Employment by Levels:
              September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Figure 3.13	North Shore Computers and Electronic Product Manufacturing
             Employment by Levels: September 2009 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Figure 3.14	North Shore Electrical Equipment and Appliances Employment by Levels:
             September 2009. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Figure 4.1	The Life Sciences Industry on the North Shore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37
Figure 5.1         Scoring Metric. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41

                                                                                                                                                            north shore WIB labor market Blueprint |   v
Executive Summary

T
      he North Shore Workforce Investment Board (NSWIB) is the entity on the North Shore
      responsible for setting workforce development policy and overseeing all federal and
      state funded workforce development programs across the 19 cities and towns in the
North Shore area. The mission of the NSWIB is to meet the workforce needs of individuals
and employers in the region. One of the key responsibilities of the NSWIB is to serve as an
aggregator and disseminator of labor market data. The North Shore Workforce Investment
Board commissioned this labor force blueprint to help:

  • The WIB and other workforce development funders make investments that will pay off
      for both workers and businesses.
  •   Career Center staff hear from employers about the types of skills (both “soft” and “hard”
      skills), education, and experience desired for successful candidates in critical and
      emerging industries.
  •   Training providers have access to detailed information on the skill and education
      requirements of the region’s businesses that are looking to hire, so the providers’
      programs can be tailored to meet the needs of those businesses.
  •   Economic development system partners understand the strengths of the region’s
      workforce that can be used as selling points for industries interested in locating to or
      expanding in the North Shore region.

Labor Market Demand
Labor market demand drove the selection of the critical industries. Specific factors included
in the decision-making process included:

  •   Number of jobs
  •   Skill and education requirements
  •   Wage levels of critical occupations
  •   Career ladder opportunities
  •   Projections of future employment opportunities

 Based on these criteria, four industries continue to stand out as critical drivers of labor
market demand:

  •   Construction
  •   Financial Services
  •   Health Care
  •   Durable Goods Manufacturing

  It is important to note that the research for this Blueprint was conducted in the midst of a
serious recession, which significantly limited the labor market demand in many industries.
Therefore, since there is relatively little employment demand, much of the discussion with
industry leaders was about where the demand would be when the recession abated.
  The construction industry has long been a staple of employment on the North Shore.
One of the strong benefits of this sector to the region is the preponderance of middle skill
jobs that offer good pay and benefits, as well as long-term career ladder opportunities. New
design and construction methods are creating new opportunities in the industry. The use of
integrated design techniques is creating demand for highly trained computer programmers
who can make use of the new techniques in building information modeling. There are
also good opportunities to build green components into existing jobs and training in the

                                                                                                  north shore WIB labor market Blueprint |   1
construction industry, including the expansion of electrical technician training to include
                                               clean energy, development of the LEED credentialed maintenance technician, and new
                                               elements of Heating, Ventilation, and Air Conditioning that reflect energy conservation
                                               changes in the industry.
                                                 In 2007, the financial services industry was selected as a critical industry due to the
                                               rapid employment growth in the sector on North Shore. While employment has declined
                                               only slightly to date, employment growth is hard to project for the near future. However,
                                               even during the current time of high unemployment, banks on the North Shore are
                                               having difficulty finding applicants that fully meet their increased requirements for entry-
                                               level employment. A lack of foundational skills, including basic math, writing, business
                                               writing, computer skills, and customer service, is a critical barrier to employment for
                                               many applicants. The occupations with the greatest level of current demand on the North
                                               Shore include Compliance and Regulation analysts, loan officers, mortgage bankers, and
                                               small business lenders. For the most part, these positions are not entry-level and require
                                               substantial levels of industry experience.
                                                  The health care industry continues to be one of the largest employers on the North Shore.
                                               It is also one of the few industries that has continued to grow its employment levels, albeit
                                               slowly, through the current recession. Changes in technology are creating increased skill and
                                               education demands of the health care workforce. More than 10% of the positions advertised
                                               with the North Shore’s career centers were in the health care industry, including positions
                                               such as nurses, CNAs, scanning coders, and support positions such as van drivers and
                                               housekeepers. The skills and education demands of many health care positions have been
                                               increasing, with technology being increasingly substituted for hands-on labor. In addition,
                                               many new positions are being created, the majority of which use technology in new ways.
                                                 The durable goods manufacturing industry has been identified as critical industry by
                                               the North Shore Workforce Investment Board since its inception based on the fact that
                                               manufacturing jobs represented “good jobs at good wages” for many North Shore residents.
                                               The durable goods manufacturing industry was in a state of flux on the North Shore as the
                                               research for this labor force blueprint was conducted. While overall employment in the
                                               industry was declining and seemed likely to continue to decline in the short-term, there
                                               were still some job opportunities available in the industry that were quite difficult to fill. The
                                               overall trend of increasing technical complexity of jobs in the industry continues to drive the
                                               demand for ever-higher levels of education and specific skills to access jobs in the industry.
                                                 Among the critical industries, several common themes emerged. First, the lack of
                                               founda­tional skills was widely seen as a barrier to entry-level employment. Second, when
                                               employment demand picks up, the jobs are expected to have higher technology and skill
                                               demands. In each industry, there was mention of the need for the education and workforce
                                               development systems to increase the skills levels of the education and training being
                                               provided. Finally, while many people have delayed retirement for economic reasons in the
                                               current recession, there will still be shortages in critical areas in years to come due to the
                                               aging workforce.
                                                  The life sciences industry was selected as the emerging industry for this Blueprint. The
                                               life sciences industry currently has a strong foothold in the North Shore region. However,
                                               the region is faced with constant national and international competition for companies in
                                               this industry. From a workforce development perspective, the most important thing the
                                               North Shore region has going for it is a highly educated workforce. However, the demands
                                               of the industry are ever-increasing and there is a sense that the region is not keeping pace.
                                               Both foundational skills and specific technical skills must be increased for the region to
                                               remain competitive.

2   | north shore WIB labor market Blueprint
Finally, the partnership between workforce and economic development has long been
recognized on the North Shore. The North Shore Workforce Investment Board commis­
sioned research from the North Shore Alliance for Economic Development on the economic
impact of eight industries in the region and how the economic and workforce development
systems can complement each other. Health care, life sciences, manufacturing, and financial
services were the top four rated industries from an economic development perspective,
matching the NSWIB-identified critical industries. The region’s economic and workforce
development efforts are built on similar premises, namely that the region can best invest its
limited resources by thinking through the benefits achieved from various industry options
and can best assist businesses in the region by working with them directly to identify their top
priority needs.

The Impact of the Great Recession
The Blueprint has been written in the midst of the deepest recession in more than fifty years.
In important ways, this recession is different from previous recessions. Job loss has been
broader and deeper than of any previous recession. This recession has seen dramatic job loss
across all age groups. Mid-career workers in their 40s and 50s are experiencing job losses like
never before. Education and experience levels have not insulated workers from job loss. The
population of unemployed workers includes people with bachelor’s and master’s degrees
and many years of productive work experience. In previous recessions, people were generally
confident that their previous jobs were going to come back. During the current recession,
many of the previous jobs will never come back.
  The recession is putting significant new demands on the region’s workforce investment
system. More people are requiring services from the system at the same time that businesses
have fewer job opportunities available. To address these issues, the workforce development
system should develop programs aimed at helping people, particularly mature workers,
transition to employment in new occupations and industries. This is particularly important
for industries where many of the critical occupations will not be available in the post-
recession economy. The workforce system should also work with industry to develop new
associate’s degrees or enhance current programs to meet the needs of the critical and
emerging industries, particularly for the middle skill jobs where there is projected to be a
skills gap when we come out of the recession. Finally, the region should create an increased
focus on foundational skills.

Recommendations
The general recommendations of the Blueprint are:

  • Advocate strongly for policies that increase the level of foundational skills in the region’s
      workforce. Four years of high school advanced mathematics along with Microsoft Office
      skills are required by many of the critical industries.
  •   Work closely with community colleges to ensure they consistently make available
      associate’s degree training that meets the needs of workers and businesses in the region.
      New associate’s degree training programs serving the manufacturing and enhanced
      degree programs serving the health care industry are needed.
  •   Continue to work on the development of soft skills. In every industry, businesses
      mentioned that they continually see people who lack work ethic and other soft skills.
  •   Utilize the current recession as an opportunity to make strong investments in educating
      and training the region’s workforce so people will be ready to access the most in-demand
      jobs when the economy recovers.

Recommendations are also provided for each of the industries discussed.

                                                                                                    north shore WIB labor market Blueprint |   3
Chapter 1 | Introduction
                                               Purpose
                                               The North Shore Workforce Investment Board (NSWIB) is the entity on the North Shore
                                               responsible for setting workforce development policy and overseeing all federal and state
                                               funded workforce development programs across the 19 cities and towns in the North Shore
                                               area. The mission of the NSWIB is to meet the workforce needs of individuals and employers
                                               in the region. Through partnerships with schools, colleges, training providers, public
                                               organizations, and businesses, the NSWIB builds and supports a workforce development
                                               system that serves all members of the North Shore community at any point where work-
                                               related services are needed.
                                                 One of the key responsibilities of the NSWIB is to serve as an aggregator and disseminator
                                               of labor market data. Use of accurate information can help a region’s workforce and
                                               economic development systems make better decisions on the use of their limited resources.
                                               Ideally, this labor force blueprint will be used to help:

                                                 • The WIB and other workforce development funders make investments that will pay off
                                                     for both workers and businesses.
                                                 •   Career Center staff hear from employers about the types of skills (both “soft” and “hard”
                                                     skills), education, and experience desired for successful candidates in critical and
                                                     emerging industries.
                                                 •   Training providers have access to detailed information on the skill and education
                                                     requirements of the region’s businesses that are looking to hire, so the providers’
                                                     programs can be tailored to meet the needs of those businesses.
                                                 •   Economic development system partners understand the strengths of the region’s
                                                     workforce that can be used as selling points for industries interested in locating to or
                                                     expanding in the North Shore region.

                                                 This report is a key component of the NSWIB’s efforts to provide objective, timely, and
                                               relevant labor force information to all partners in the regional workforce system in a time of
                                               serious economic uncertainty.

                                               History
                                               The North Shore Workforce Investment Board has a long history of performing a variety of
                                               labor market analyses and using the information developed in those analyses in its work.
                                               This labor force blueprint is the fourth in the series of detailed labor market blueprints. In
                                               addition, the NSWIB has commissioned special reports on the green economy (Quimby,
                                               2009) and a wide variety of regional economy issues.1
                                                 The development of the labor force blueprints over time has demonstrated significant
                                               changes in the North Shore regional economy. For the initial labor force blueprint (Green,
                                               et. al., 2000), eight industries of focus were identified.

                                               1 All North Shore Workforce Investment Board publications are available online at http://www.northshorewib.com/
                                               resources.html.

4   | north shore WIB labor market Blueprint
2000 Critical Industries                 2000 Emerging Industries
  Construction                             Computer and Data Processing
  Health Care                              Financial Services, Web-based Banking
  Manufacturing                            Telecommunications
  Personnel Supply Services
  Retail Trade

  In 2002, the original labor force blueprint was updated (Quimby and Green, 2002).
This effort focused on changes in the original critical and emerging industries driven by
the economic restructuring that occurred between 2000 and 2002. The blueprint update
also contained a set of case studies on exemplary career ladder programs serving the
manufacturing, telecommunications, and construction industries. In 2007, a new labor
force blueprint research project was conducted (Quimby, 2007). As a result of changes in
the regional economy that occurred between 2000 and 2007, a revised set of critical and
emerging industries were selected.

  2007 Critical Industries                 2007 Emerging Industry
  Construction                             Biotechnology
  Financial Services
  Health Care
  Manufacturing

  Selection of critical and emerging industries was based on the following factors.

  •   Number of jobs
  •   Skill and education requirements
  •   Wage levels of critical occupations
  •   Career ladder opportunities
  •   Projections of future employment opportunities

  These criteria were developed to identify industries most relevant to the region’s
employment needs and with the best job growth opportunities. It is important to note that
the critical and emerging industries selected are not the only industries in the region with
job opportunities. They should be considered as priorities in a larger regional workforce and
economic development strategy that takes into account the full industrial and occupational
makeup of the region.

Methodology
This report brings together labor market analyses from a variety of sources to analyze the
critical and emerging industries on the North Shore. The critical and emerging industries
for this report remain the same as those identified in 2007. However, in our analysis of the
impact of the recession and the analysis of economic development communities in the
region, some hints as to potential new opportunities for the workforce development system
are provided.
  Quantitative data on employment in the region was provided by the Massachusetts
Executive Office of Labor and Workforce Development (EOLWD) through the Covered
Employment and Wages (ES-202) data series. This data series covers all employment, in
both the public and private sectors and in every industry, for the North Shore Workforce
Investment Area. EOLWD also provided occupational information from the Occupational
Employment and Wage Statistics program conducted in partnership with the United States

                                                                                                north shore WIB labor market Blueprint |   5
Department of Labor. This program provides current data as well as ten-year employment
                                               projections. Several analytic reports from EOLWD were also consulted.
                                                  As a final step in compiling quantitative labor market data, occupational matrices were
                                               constructed for the critical industry sectors (see Appendix B) using the methodology
                                               developed in the 2000 Labor Force Blueprint. The occupational matrices include informa­
                                               tion on numbers of workers in each occupation that does not generally require a bachelor’s
                                               degree, the projected growth rate of the occupation between 2006 and 2016, and the career
                                               ladder level of the occupation. This analysis method serves three critical purposes. First,
                                               an examination of the wages paid by the most important occupations in an industry gives
                                               an indication of whether investment in training programs for these occupations is likely to
                                               provide a payoff to workers. Second, the examination of the occupational mix in an industry
                                               allows one to focus on the largest and/or fastest-growing occupations when developing
                                               programs to meet employer needs. Third, an analysis of the mix of jobs at different skill and
                                               training levels provides information on the likelihood of career ladder potential.
                                                  Career ladder potential is defined as having a mixture of Level I, II, and III jobs in the
                                               occupational matrix. The determination of the number of jobs designated Level I, II, and III
                                               is based on the differentiation of jobs into levels—which is, of necessity, partially subjective.
                                               All jobs in the three levels included in the matrix generally do not require a bachelor’s
                                               degree as a condition of hiring, although some incumbent workers in these jobs may have a
                                               bachelor’s degree. Where this is the case for a particular industry, it is noted in the analysis.
                                               The differences between the levels are based on factors that include increasing educational
                                               requirements, increasing length of training required to enter the job, and generally in­creas­
                                               ing wage levels. Information on educational requirements and wages was obtained from
                                               employer interviews and focus groups and the Bureau of Labor Statistics’ Occupational
                                               Employment Statistics.2 It is important to note that, due to market forces, wages across
                                               different occupations are not strictly comparable. The wages provided in the appendices
                                               are averages, and the wages paid by specific employers will vary.
                                                 The qualitative research for this report involved conducting focus groups with business
                                               leaders in each of the critical industries and supplemental interviews with key business and
                                               economic development leaders. The qualitative research focused on key industry issues, high
                                               priority occupations and their skill and education requirements, and projected employment
                                               needs over the next five years. The focus group protocol is provided in Appendix A.
                                                 This report breaks new methodological ground for the region’s series of labor force
                                               blueprints in two ways. First, the North Shore Workforce Investment Board commissioned
                                               Monster.com to provide data on both job postings from the North Shore and resumes posted
                                               by North Shore residents. These data are incorporated into the analysis of the supply and
                                               demand side of the four critical industries on the North Shore. The Monster.com data is a
                                               developing data source and has potential value to the workforce system by providing close
                                               to real-time data.3 Over the next year, the NSWIB will be working to identify additional ways
                                               in which this data can provide value. This data is further augmented by an analysis of similar

                                               2 This method of employment-level determination carries with it some potential biases. One potential bias is the
                                               understatement or overstatement of the numbers of Level I, II, or III jobs in the study area. It seems likely, given the
                                               large numbers of jobs we are reporting on, that any differences caused by the data issues described above are likely to
                                               be small. The other main issue that arises from this problem is the over-reporting or under-reporting of particular jobs
                                               in the North Shore. This problem cannot be directly resolved through analysis of the quantitative data. Therefore, the
                                               NSWIB and the programs it funds are advised to work closely with specific employers to determine their occupational
                                               mix as part of the program development process.
                                               3 It is important to note the use of the Monster.com data must be taken as a small portion of broader analysis.
                                               The Monster.com data is not representative of the North Shore labor market demand or supply. It is also subject
                                               to substantial missing data biases where respondents did not enter data is each field offered. This data should be
                                               considered for discussion purposes only and cannot be taken as definitive.

6   | north shore WIB labor market Blueprint
data from the North Shore’s career center customers. Second, the NSWIB commissioned an
economic development report from the North Shore Alliance for Economic Development.
This report, which will be published separately in its entirety, is an analysis of interviews with
five separate economic development communities on how they see the growth opportunities
for different industries on the North Shore. In this report, we discuss these views on the
critical and emerging industries on the North Shore and provide recommendations as to
how the economic development and workforce development systems can effectively work
together for mutual benefit.
  The remainder of this report proceeds as follows. Chapter 2 provides an overview of the
supply and demand sides of the North Shore’s regional labor market. From the demand
side, the report utilizes quantitative data to look at historical changes in the North Shore’s
industrial and occupational mix. In addition, this chapter contains an analysis of the
changes to the regional economy that have occurred and are now occurring due to the
recession. From the supply side, we look at the workforce demographics of the North Shore.
Chapter 3 reviews the critical industries utilizing both qualitative and quantitative data to
assess the training and education demands for workers in the critical occupations for each
industry and discusses the assessments of business leaders in each industry for growth in
the future. Chapter 4 is a special analysis of the life sciences industry on the North Shore
with an eye toward critical foundational and technical skill requirements to ensure the
industry can continue to grow in the region. Chapter 5 contains a review of how various
economic development entities view the critical and emerging industries on the North Shore
and a discussion of how the economic and workforce development systems can best work
together to mutual advantage. Chapter 6 concludes the report with recommendations for the
workforce and education systems on the North Shore.

                                                                                                     north shore WIB labor market Blueprint |   7
Chapter 2 | North Shore Labor
                                                           Market

                                               T
                                                     hrough the early years of the twenty-first century, the North Shore labor market has
                                                     been known for its consistency. While national economic trends certainly impacted
                                                     the North Shore, there are several factors that have eased economic downturns on the
                                               North Shore in the past.

                                                 • The North Shore historically has had a highly educated workforce. All things being equal,
                                                     regions with educated workforces tend to do better in all economic environments than
                                                     regions with less educated workforces.
                                                 •   The North Shore region has had a high concentration of relatively stable industries.
                                                     In particular, Health Care and Education Services have historically employed large
                                                     numbers of North Shore residents and demonstrated consistent employment patterns
                                                     in good economic times and bad.
                                                 •   The North Shore has had a strong set of infrastructure elements to meet the requirements
                                                     of a diverse set of industries. These include physical properties that can meet the tech­
                                                     nical requirements of a wide variety of industries, ease of access to central transportation
                                                     hubs, and a diverse set of investment entities including venture and angel investors,
                                                     traditional investment banking, and state and regional government support.

                                                 The North Shore continues to have many strong workforce elements. However, these
                                               elements have not sufficed to insulate the region from the impact of the national and
                                               global recession over the past two years. Over the past several years, the education and skill
                                               requirements of critical businesses and industries, both on the North Shore and nationally,
                                               have increased dramatically and the current skill sets of the workforce have struggled to keep
                                               up. While the Health Care and Education services industries continue to be strong employers
                                               in the region, other traditionally strong employers are facing challenges. The current reces­
                                               sion is different than past recessions, and the North Shore regional response will need to
                                               change to ensure the region’s workforce is prepared when employment begins to return to
                                               pre-recession levels.
                                                 The analysis in this blueprint occurred in the midst of the current recession. When the
                                               region will emerge from the recession is unknown. In some cases, this has made the analysis
                                               more challenging as it is difficult to project when the region will emerge from the recession
                                               and what long-term impacts the recession will produce by the time it ends. However, the
                                               effort is worthwhile since the recession offers an opportunity to pursue the education and
                                               occupational skill training that will be in demand when the economy recovers.
                                                 The remainder of this report is divided into three sections. First, the report examines the
                                               demand side of the regional economic equation with a look at the industrial mix on the
                                               North Shore, how this mix compares to the industrial mix of the state and nation, and the
                                               levels of new and replacement employment demand in these industries as demonstrated by
                                               job advertisements placed through Monster.com and the North Shore’s career centers. In the
                                               second section, the report looks at the occupational mix on the North Shore with a special
                                               focus on the fastest growing and highest volume occupations. Finally, the third section
                                               concludes with an examination of the impact of the recession on the region’s economic
                                               prospects and the disproportionate impact the recession has had on various economic and
                                               demographic groups on the North Shore.

8   | north shore WIB labor market Blueprint
Demand Side Analysis: Industries on the North Shore
Between 2001 and 2005, the North Shore industrial mix demonstrated a remarkable level of
consistency of employment. The same industries dominated the private sector employment
mix from year to year. However, over the past several years, much has changed.

Figure 2.1 North Shore Private Sector Employment: 2001-2009
 Industry                                                 2001         2002          2003     2004     2005     2006       2007         2008         2009
 Agriculture, Forestry, Fishing & Hunting                   509         510           506      525      528      481         462          527          471
 Construction                                             5,998       6,560          6,903    6,619    6,688    6,989      7,354        6,768        5,606
 Durable Goods Manufacturing                             17,778      15,892      15,458      15,145   15,378   14,983    15,249       14,535       12,228
 Non-Durable Goods Manufacturing                          6,484       5,983          5,732    5,436    5,246    5,063      4,702        4,630       4,285
 Retail Trade                                            27,097      26,652      26,248      26,789   26,866   26,347    25,794       25,368       25,131
 Transportation and Warehousing                           2,312       2,191          2,187    2,232    2,236    2,134      2,139        2,247       2,248
 Information                                              3,782       3,881          3,435    2,962    2,891    2,554      2,627        3,085       2,946
 Finance and Insurance                                    5,498       6,026          6,523    5,646    5,659    6,406      6,165        5,963       5,727
 Professional and Technical Services                      7,125       7,004          7,220    7,581    7,780    8,064      8,190        7,847       7,431
 Administrative and Waste Services                        8,345       7,518          7,301    7,526    6,937    8,227      7,318        7,377       6,620
 Educational Services                                     2,623       2,622          2,669    2,728    2,821    2,827      3,041        3,103       3,158
 Health Care and Social Assistance                       23,746      24,031      24,101      24,478   24,531   25,704    26,854       27,608       28,357
 Arts, Entertainment, and Recreation                      3,181       3,535          3,776    3,786    3,507    3,406      3,582        3,710       3,420
 Accommodation and Food Services                         15,719      16,083      15,435      15,258   15,349   14,856    15,441       15,609       15,939
 Other Services, Except Public Administration             6,463       6,891          6,787    6,839    6,797    6,942      7,076        7,354       7,541
 Total All Private Sector Employment                   147,862 146,011 144,601 144,211 143,853 145,076 146,352 147,547 141,138
 Source: Massachusetts Executive Office of Labor and Workforce Development ES-202 data.4

  Total private sector employment on the North Shore peaked in 2001, declined slightly
(2.7%) through 2005, and then gradually recovered until it approximated the 2001 peak in
2008. However, from September 2008 to September 2009, the North Shore’s private sector
employment declined 4.3% to the lowest levels in the decade. Anecdotally, it appears that
this loss of employment is continuing through to the present, mirroring national trends.
   Between September 2008 and September 2009, the last year for which data is available,
some industries have suffered much more than others. Construction and Durable Goods
Manufacturing had the largest job losses, 17.1% and 15.9% respectively. Only three indus­
tries demonstrated employment growth exceeding one percent during this period. Health
Care and Social Assistance Employment grew 2.7%; Accommodation and Food Service
employment grew 2.1%; and private sector Educational Services employment grew 1.7%.
  One way to determine which industries are critical to a region is to examine which are
present in the region in greater or lesser proportions than expected in comparison to some
larger area. In Table 2.2, the Massachusetts location quotients compare the Commonwealth
of Massachusetts employment concentration to the nation as a whole, and the North Shore
location quotients compare North Shore employment to Massachusetts state employ­
ment. Values over 1.0 indicate a higher concentration of employment in that industry, and
numbers below 1.0 indicate a lower concentration of employment compared to the reference
geographical location. Higher location quotients suggest industries in which the state or
region may have a comparative advantage (Maki and Lichty, 2000).

4 Data in Figure 2.1 is for September of each year and is not seasonally adjusted.

                                                                                                                   north shore WIB labor market Blueprint |   9
Figure 2.2 Location Quotients by Major Industries: 2008
                                                 Industry                                                                     Massachusetts          North Shore
                                                 Agriculture, Forestry, Fishing, and Hunting                                        0.22                  1.37
                                                 Construction                                                                       0.71                  0.97
                                                 Manufacturing                                                                      0.83                  1.31
                                                 Utilities                                                                          0.73                  0.84
                                                 Wholesale Trade                                                                    0.92                  0.87
                                                 Retail Trade                                                                       0.90                  1.44
                                                 Transportation and Warehousing                                                     0.67                  0.62
                                                 Information                                                                        1.19                  0.65
                                                 Finance and Insurance                                                              1.20                  0.65
                                                 Real Estate and Rental and Leasing                                                 0.79                  0.99
                                                 Professional and Technical Services                                                1.36                  0.60
                                                 Management of Companies and Enterprises                                            1.35                  0.55
                                                 Administrative and Waste Services                                                  0.80                  0.83
                                                 Educational Services                                                               2.22                  0.47
                                                 Health Care and Social Assistance                                                  1.27                  1.12
                                                 Arts, Entertainment, and Recreation                                                1.02                  1.27
                                                 Accommodation and Food Services                                                    0.91                  1.15
                                                 Other Services, Except Public Administration                                       1.17                  1.10
                                                 Source: Massachusetts Executive Office of Labor and Workforce Development calculations of ES-202 data.

                                                  Massachusetts is overrepresented in the Information, Finance and Insurance, Professional
                                                and Technical Services, Management of Companies and Enterprises, Health Care and Social
                                                Assistance, and Educational Services industries as compared to the United States as a whole.
                                                Not surprisingly, these industries are strongly representative of the industrial mix in the city
                                                of Boston, which is sufficiently large to have the greatest influence on the total employment
                                                for the state.
                                                   Compared to the state as a whole, the North Shore region has strong industrial employ­
                                                ment concentrations in Manufacturing; Retail Trade; Health Care and Social Assistance;
                                                Arts, Entertainment, and Recreation; and Accommodation and Food Services. The con­
                                                centrations in the Arts, Entertainment, and Recreation and Accommodation and Food
                                                Services industries are testament to the importance of the tourism industry in the region.
                                                The North Shore’s concentration in Retail Trade is almost entirely due to the presence of
                                                the North Shore and Liberty Tree malls. Regions with shopping centers tend to have high
                                                location quotients, while those without do not. It is interesting that the Health Care and
                                                Social Assistance industry is over-represented on the North Shore despite the concentra­
                                                tion of teaching hospitals with their large employment bases in Boston. The high location
                                                quotient for the Manufacturing industry in the region is a strong indicator of how important
                                                manufacturing continues to be to the region’s employment base.
                                                   Employment projections are always difficult to make, in large part because of unforeseen
                                                issues such as the current recession. The most recent industrial growth projections are for
                                                the period 2006-2016 and were made just as the economy was beginning to demonstrate real
                                                employment growth, as shown in Figure 2.3.5

                                                5 Data provided is for Massachusetts as a whole. Data is not available by industry for the North Shore Workforce
                                                Investment Area.

10   | north shore WIB labor market Blueprint
Figure 2.3 Massachusetts Employment Growth Projections
            by Industry: 2006-2016
 Industry                                                                                 Growth Projection
 Natural Resources and Mining                                                                    -2.2%
 Construction                                                                                    -3.0%
 Manufacturing                                                                                  -13.8%
 Utilities                                                                                       -7.4%
 Wholesale Trade                                                                                  2.8%
 Retail Trade                                                                                    -1.6%
 Transportation and Warehousing                                                                   7.4%
 Information                                                                                      8.2%
 Finance and Insurance                                                                            3.3%
 Real Estate and Rental and Leasing                                                               2.6%
 Professional and Technical Services                                                             18.1%
 Management of Companies and Enterprises                                                          3.2%
 Administrative and Waste Services                                                               12.7%
 Educational Services, Private                                                                   11.8%
 Health Care and Social Assistance                                                               18.6%
 Arts, Entertainment, and Recreation                                                             15.1%
 Accommodation and Food Services                                                                  8.0%
 Other Services, Except Public Administration                                                     7.2%
 Source: Massachusetts Executive Office of Labor and Workforce Development calculations of Current Employment
 Statistics Program data.

   The strongest industrial employment growth was projected for the Health Care and Social
Assistance, Professional and Technical Services, and Arts, Entertainment, and Recreation
industries. The greatest job losses were projected for the Manufacturing sector. To date, the
industries that were projected for the highest growth have generally survived the recession
best. However, the current employment growth in those industries is not on track to meet
the projections due to the overall status of the economy. In this economy, maintaining
employment levels or a slight increase is a major success. As discussed in detail in Chapter 3,
the Health Care and Social Assistance industry on the North Shore is following this pattern.
The Manufacturing industry is showing declining growth both on the North Shore and
statewide, as predicted. However, it is important to note that the Manufacturing industry
is a larger part of the North Shore economy than it is for the state as a whole. Therefore,
employment in the industry could decline significantly in the North Shore region while the
industry remains a major employer as a percentage of all employment in the region. Also,
manufacturing employment seems to be showing early signs of stabilization and recovery on
the North Shore as detailed in Chapters 3 and 5.
  Finally, two new datasets provide a differing look at industrial demand on the North Shore.
First, we examine data from Monster.com. Monster.com provided the North Shore Workforce
Investment Board with data on their jobs listings for the North of Boston region, which
includes the North Shore region as well as portions of Merrimack Valley and Metro North
Workforce Investment Areas. It is important to recognize that industry data was not available
for all listings.

                                                                                                                north shore WIB labor market Blueprint |   11
Figure 2.4 Monster.com Job Listings for the North of Boston Region:
                                                            Q1 2010
                                                 Industry                                                   Job Listings      Percentage of Total
                                                 Agriculture, Forestry, Fishing, and Hunting                       56                 0.1%
                                                 Construction                                                    318                  0.8%
                                                 Manufacturing                                                  3,140                 8.1%
                                                 Utilities                                                       357                  0.9%
                                                 Wholesale Trade                                                   81                 0.2%
                                                 Retail Trade                                                   1,005                 2.6%
                                                 Transportation and Warehousing                                    80                 0.2%
                                                 Information                                                    3,114                 8.0%
                                                 Finance and Insurance                                          3,332                 8.6%
                                                 Real Estate and Rental and Leasing                              317                  0.8%
                                                 Professional and Technical Services                           12,324                31.8%
                                                 Management of Companies and Enterprises                         780                  2.0%
                                                 Administrative and Waste Services                               238                  0.6%
                                                 Educational Services                                           1,417                 3.7%
                                                 Health Care and Social Assistance                              3,948                10.2%
                                                 Arts, Entertainment, and Recreation                             216                  0.6%
                                                 Accommodation and Food Services                                 795                  2.1%
                                                 Other Services, Except Public Administration                   4,149                10.7%
                                                 Public Administration                                           475                  1.2%
                                                 Not Categorized                                                2,626                 6.8%
                                                 Total                                                        38,768
                                                 Source: Monster.com.

                                                   The Professional and Technical Services industry provided 31.8% of the job listings in
                                                the first quarter of 2010. In some ways, this is not surprising, since the reputation of online
                                                job listings and responses suggests that high tech companies and more technologically
                                                sophisticated job seekers are likely to be the base of Monster.com users. The Professional
                                                and Technical Services industry is highly over-represented in the Monster.com dataset as
                                                compared to the industry’s overall representation in the industrial mix of the North Shore
                                                region. The Health Care and Social Assistance industry had more than 10% of the jobs
                                                listed in the Monster.com dataset. The industry is even more heavily represented in region’s
                                                industrial mix. Finally, it is interesting that 8.1% of the jobs listed in the Monster.com dataset
                                                are in the manufacturing industry. While the manufacturing industry is unquestionably
                                                important on the North Shore region, quantitative data sources suggest that employment
                                                is declining. In that case, one would expect to see very low levels of job advertisements
                                                relative to other industries, but that is not the case here. This may indicate the manufacturing
                                                industry is either beginning to regain employment or that the industry has significant skill
                                                gaps that need to be addressed. This issue is further addressed in Chapter 3.
                                                  Data on job listings placed with the North Shore’s career centers offer quite a different
                                                perspective than the Monster.com job data.

12   | north shore WIB labor market Blueprint
Figure 2.5 North Shore Career Center Job Listings:
            July 2009 to June 2010
 Industry                                                   Job Listings      Percentage of Total
 Agriculture, Forestry, Fishing, and Hunting                      46                 1.9%
 Construction                                                     33                 1.3%
 Manufacturing                                                   248                10.0%
 Utilities                                                         2                 0.1%
 Wholesale Trade                                                  23                 0.9%
 Retail Trade                                                    221                 8.9%
 Transportation and Warehousing                                   47                 1.9%
 Information                                                      54                 2.2%
 Finance and Insurance                                            32                 1.3%
 Real Estate and Rental and Leasing                               10                 0.4%
 Professional and Technical Services                              71                 2.9%
 Management of Companies and Enterprises                           0                 0.0%
 Administrative and Waste Services                               422                17.1%
 Educational Services                                            134                 5.4%
 Health Care and Social Assistance                               284                11.5%
 Arts, Entertainment, and Recreation                             136                 5.5%
 Accommodation and Food Services                                 227                 9.2%
 Other Services, Except Public Administration                    216                 8.7%
 Public Administration                                           224                 9.1%
 Not Categorized                                                  45                 1.8%
 Total                                                         2,475
 Source: North Shore Career Centers.

   The greatest number of job opportunities listed with the North Shore career centers were
in the Administrative and Waste Services industry (17.1% of all job listings). Job listings in
this industry were driven by a great preponderance of temporary agency job listings. These
jobs represent a wide variety of jobs and industries. The temporary nature of these jobs can
be worrisome from a workforce development perspective, but some of the jobs may offer
temporary-to-permanent opportunities that would improve their viability. Two NSWIB-
identified critical industries each had more than ten percent of the total job listings. Health
Care and Social Assistance accounted for 11.5% of total job listings. This is certainly reflective
of the importance of health care employment in the region, as well as the fact that it is one
of the industries that has continued to demonstrate employment growth in the region over
the past several years. Manufacturing accounted for 10.0% of the career center’s total job
listings. This is further testament to importance of manufacturing to the region’s industrial
employment mix.
  It is worth noting the considerable differences between the Monster.com and career
centers job listings. The Monster.com job listings are concentrated in positions that require
higher levels of education and experience and that generally offer higher wages. The
Monster.com job listings were also much more likely to be permanent and/or full-time jobs

                                                                                                     north shore WIB labor market Blueprint |   13
than those listed with the career centers. However, both the Monster.com and career center
                                                listings had more than ten percent of their job listings in both the Health Care and Social
                                                Assistance and Manufacturing industries. Overall, the job listing analysis demonstrates that
                                                there is no substitute for regular communication with business leaders in all of the critical
                                                and emerging industries to maintain the best handle on employment demand changes in
                                                these turbulent times.

                                                Supply Side Analysis: The North Shore Workforce
                                                An examination of the supply side of the North Shore regional labor market must focus on
                                                two areas: the skills, education, and experience that the workforce in the region possesses
                                                and the jobs that the workforce either possesses or is looking to obtain. The competencies
                                                of a region’s workforce are key selling points for industrial location and growth in a region
                                                from an economic development perspective. In this section, we look at the demographic
                                                characteristics of the region and analyze occupational data from both traditional sources
                                                and the Monster.com dataset to examine the state of the North Shore regional workforce.
                                                  The North Shore workforce is traditionally thought of as notable for a number of positive
                                                characteristics. The high level of educational attainment in the region is what one would
                                                expect given both the high cost of living in the region and the importance of highly skilled
                                                labor to the most important industries in the region.

                                                Figure 2.6 Essex County Educational Attainment: 2008
                                                                                                          Essex County   Massachusetts   United States
                                                 Less than 9th Grade                                         5.7%            4.9%            6.4%
                                                 9th to 12th Grade, No Diploma                               6.3%            6.4%            8.7%
                                                 High School Diploma (includes equivalency)                  25.5%          26.7%           28.5%
                                                 Some College, No Degree                                     17.9%          16.4%           21.3%
                                                 Associate’s Degree                                          8.1%            7.5%            7.5%
                                                 Bachelor’s Degree                                           22.5%          21.7%           17.5%
                                                 Graduate or Professional Degree                             14.0%          16.4%           10.2%
                                                 Percent High School Graduate or Higher                      88.0%          88.7%           85.0%
                                                 Percent Bachelor’s Degree or Higher                         36.5%          38.1%           27.7%
                                                 Source: U. S. Census Bureau American Community Survey.

                                                  In 2008, Essex County residents ages 25 and over had higher education levels than the
                                                nation as a whole. The percentage of Essex County residents with a bachelor’s degree or
                                                higher was 36.5%, compared to 27.7% of United States residents and 38.1% of Massachusetts
                                                residents. Compared to Massachusetts, Essex County had higher levels of those with Some
                                                College, no degree, Associates degree and Bachelor’s degree. Overall, the data on educational
                                                attainment suggests that the North Shore region has an above-average education level.
                                                Given the educational requirements of the industries and occupations projected to grow in
                                                the region, it is important that the region build on this level and increase the percentage of
                                                residents prepared with an associate’s degree and above.

14   | north shore WIB labor market Blueprint
Figure 2.7 North Shore Workforce Investment Area Top 25 Occupations: May 2009
                                                                                        Median          Entry-Level        Experienced
 Rank      Occupation                                                         Jobs    Annual Wage      Annual Wage         Annual Wage
      1    Retail Salespersons                                                7,110     $22,001            $18,130            $31,982
      2    Cashiers                                                           6,340     $19,005            $17,647            $22,237
      3    Waiters and Waitresses                                             4,550     $25,243            $18,382            $34,283
      4    Registered Nurses                                                  3,950     $71,164            $54,822            $82,789
           Combined Food Preparation and Serving Workers, Including
      5                                                                       3,440     $18,919            $18,093            $20,606
           Fast Food
      6    Customer Service Representatives                                   3,190     $32,720            $24,081            $39,555
      7    Office Clerks, General                                             3,140     $32,965            $23,027            $37,549
      8    Stock Clerks and Order Fillers                                     2,820     $22,145            $18,460            $29,114
      9    Bookkeeping, Accounting, and Auditing Clerks                       2,560     $38,820            $26,879            $45,349
      10   General and Operations Managers                                    2,420     $91,856            $59,039            $131,508
      11   Teacher Assistants                                                 2,090     $27,322            $19,062            $31,958
      12   Home Health Aides                                                  2,080     $24,879            $22,072            $26,607
      13   Managers of Office and Administrative Support Workers              1,920     $52,914            $39,477            $62,629
      14   Nursing Aides, Orderlies, and Attendants                           1,880     $28,555            $24,903            $31,080
      15   Executive Secretaries and Administrative Assistants                1,830     $43,898            $32,445            $52,459
      16   Elementary School Teachers, Except Special Education               1,810     $59,557            $41,887            $66,483
      17   Personal and Home Care Aides                                       1,630     $27,976            $23,954            $30,635
           Secondary School Teachers, Except Special and
      18                                                                      1,590     $59,805            $43,685            $67,909
           Vocational Education
      19   First-Line Supervisors/Managers of Retail Sales Workers            1,580     $37,198            $25,657            $52,654
      20   Cooks, Restaurant                                                  1,570     $24,995            $19,839            $28,862
      21   Janitors and Cleaners, Except Maids and Housekeeping Cleaners      1,550     $26,713            $21,042            $33,623
      22   Packers and Packagers, Hand                                        1,500     $22,606            $18,413            $31,214
      23   Food Preparation Workers                                           1,490     $21,031            $18,389            $25,339
      24   Bartenders                                                         1,490     $21,927            $17,196            $28,970
      25   Secretaries, Except Legal, Medical, and Executive                  1,470     $35,818            $26,130            $42,104
 Source: Massachusetts Executive Office of Labor and Workforce Development.

  In terms of current jobs, Figure 2.7 shows the top 25 occupations by number of jobs in
the North Shore region in May, 2009. These occupations are a diverse group spread across a
number of industries. Some of the key take-aways from this data include:

  • Nine of the top 25 and three of the top five occupations have median annual salaries of
      less than $25,000. Five of the top 25 occupations have a median annual salary greater
      than $50,000.
  •   Ten of the top 25 occupations are concentrated in the Retail Trade and Accommodation
      and Food Services industries.
  •   Few of the top 25 occupations require an associate’s degree or higher.

                                                                                                  north shore WIB labor market Blueprint |   15
When looking at the occupations projected to grow the fastest and to create the greatest
                                                number of new job opportunities, the picture looks quite different.

                                                Figure 2.8 Massachusetts Fastest Growing Occupation Projections:
                                                            2006-2016
                                                  Rank      Occupation                                                        Projected Growth
                                                    1       Network Systems and Data Communications Analysts                        50%
                                                    2       Personal and Home Care Aides                                            36%
                                                    3       Computer Software Engineers, Applications                               35%
                                                    4       Home Health Aides                                                       34%
                                                    5       Veterinary Technicians and Technologists                                33%
                                                    6       Biochemists and Biophysicists                                           31%
                                                    7       Veterinarians                                                           31%
                                                    8       Pharmacy Technicians                                                    29%
                                                    9       Skin Care Specialists                                                   28%
                                                    10      Social and Human Services Assistants                                    27%
                                                    11      Physical Therapist Assistants                                           27%
                                                    12      Multi-Media Artists and Animators                                       26%
                                                    13      Microbiologists                                                         25%
                                                    14      Biological Technicians                                                  25%
                                                    15      Health Educators                                                        25%
                                                    16      Mental Health and Substance Abuse Social Workers                        24%
                                                    17      Computer Software Engineers, Systems Software                           24%
                                                    18      Computer Systems Analysts                                               24%
                                                    19      Medical Assistants                                                      24%
                                                    20      Medical Scientists, Except Epidemiologists                              24%
                                                 Source: Massachusetts Executive Office of Labor and Workforce Development.

                                                  Fifteen of the 20 occupations projected to grow the fastest between 2006 and 20166
                                                generally require a minimum educational level of a bachelor’s degree. Nine of the top
                                                twenty occupations were in the Health Care and Social Assistance industry. The next
                                                largest industrial representations were from the Professional and Technical Services and
                                                Life Sciences industries. The industries in which the projected fastest growing occupations
                                                reside are industries well represented in the critical and emerging industries on the North
                                                Shore. However, it is important to recognize that some of these occupations will be growing
                                                from a small base of employment, so not many new jobs will be created.

                                                6 Projections are not made at the Workforce Investment Area level.

16   | north shore WIB labor market Blueprint
You can also read